Purchase Order Terms & Conditions

1 Purchase Order Terms & Conditions Effective September 1, 2015 1 | P a g e Section 1. Purchase Order . A. Composition and Priority. The Contractor agrees to provide commodities or contractual services to the Agency within the manner and at the location specified in the Purchase Order , and any attachments to the Purchase Order . These Purchase Order Terms and Conditions , whether generic or specific, shall take precedence over any inconsistent or conflicting provision in the State of Florida, General Contract Conditions , PUR 1000. Additionally, the Terms of the Purchase Order supersede the Terms of any and all prior agreements with respect to this Purchase .

2 B. Initial Term. Unless otherwise specified, the Purchase Order begins on the date of issuance. Contractual services or commodities to be provided by the Contractor shall be completed by the date specified on the Purchase Order end date. Section 2. Performance. A. Performance Standards. The Contractor agrees to perform all tasks and provide deliverables as set forth in the Statement of Work and attachments to the Purchase Order . The Agency shall be entitled at all times, upon request, to be advised as to the status of work being done by the Contractor and of the details thereof.

3 Coordination shall be maintained by the Contractor with representatives of the Agency, or of other agencies involved in the project on behalf of the Agency. B. Performance Deficiency. If the Agency determines that the performance of the Contractor is unsatisfactory, the Agency may notify the Contractor of the deficiency to be corrected, which correction shall be made within a time-frame specified by the Agency. The Contractor shall provide the Agency with a corrective action plan describing how the Contractor will address all issues of contract non-performance, unacceptable performance, and failure to meet the minimum performance levels, deliverable deficiencies, or contract non-compliance.

4 If the corrective action plan is unacceptable to the Agency, the Contractor will be assessed a non-performance retainage equivalent to 10% of the total invoice amount or as specified in the contractual documents. The retainage will be applied to the invoice for the then-current billing period. The retainage will be withheld until the Contractor resolves the deficiency. If the deficiency is subsequently resolved, the Contractor may invoice the Agency for the retained amount during the next billing period. If the Contractor is unable to resolve the deficiency, the funds retained will be forfeited.

5 Section 3. Payment and Fees. A. Payment Invoicing. The Contractor will be paid upon submission of properly certified invoice(s) to the Agency after delivery and acceptance of commodities or contractual services is Purchase Order Terms & Conditions Effective September 1, 2015 2 | P a g e confirmed in writing by the Agency. Invoices shall contain detail sufficient for audit thereof and shall contain the Purchase Order and the Contractor s Federal Employer Identification Number or Social Security Number. B. Payment Timeframe. Section , Florida Statutes ( ), provides that agencies have five (5) working days to inspect and approve commodities or contractual services.

6 Items may be tested for compliance with specifications. Items delivered not conforming to specifications may be rejected and returned at the Contractor s expense. Interest penalties for late payment are also provided for in section , A vendor Ombudsman, whose duties include acting as an advocate for Vendors who may be experiencing problems obtaining timely payment(s) from an Agency, may be contacted at 850-413-5516, or Vendors may call the State Comptroller s Hotline at 1-800-848-3792. C. myfloridamarketplace Fees. The following language is included pursuant to rule , Florida Administrative Code: The State of Florida, through the Department of Management Services, has instituted myfloridamarketplace , a statewide eProcurement system pursuant to section (22), Florida Statutes.

7 Payments issued by Agencies or Eligible Users to Vendors for purchases of commodities or contractual services are subject to Transaction Fees, as prescribed by rule , Florida Administrative Code, or as may otherwise be established by law. Vendors shall submit monthly reports required by the rule. All reports shall be subject to audit. Failure to pay Transaction Fees or submit reports shall constitute grounds for default and exclusion from business with the State of Florida. D. Payment Audit. Records of costs incurred under Terms of the Purchase Order shall be maintained and made available to the Agency upon request at all times during the period of the Purchase Order , and for a period of three years thereafter.

8 Records of costs incurred shall include the Contractor s general accounting records, together with supporting documents and records of the Contractor and all subcontractors performing work, and all other records of the Contractor and subcontractors considered necessary by the Agency for audit. E. Annual Appropriation and Travel. Pursuant to section , , if the Purchase Order binds the State or an executive agency for the Purchase of services or tangible personal property for a period in excess of one (1) fiscal year, the State of Florida's performance and obligation to pay under this contract is contingent upon an annual appropriation by the Legislature.

9 Travel expenses are not reimbursable unless specifically authorized in writing, and shall be reimbursed only in accordance with section , Purchase Order Terms & Conditions Effective September 1, 2015 3 | P a g e Section 4. Liability. A. Indemnity. To the extent permitted by Florida law, the Contractor agrees to indemnify, defend, and hold the State of Florida, its officers, employees and agents harmless from all fines, claims, assessments, suits, judgments, or damages, consequential or otherwise, including court costs and attorney s fees, arising out of any acts, actions, breaches, neglect or omissions of the Contractor, its employees, agents, subcontractors, assignees or delegates related to the Purchase Order , as well as for any determination arising out of or related to the Purchase Order .

10 That the Contractor or Contractor s employees, agents, subcontractors, assignees or delegates are not independent contractors in relation to the Agency. The Purchase Order does not constitute a waiver of sovereign immunity or consent by the Agency or the State of Florida or its subdivisions to suit by third parties. B. Payment for Claims. The Contractor guarantees the payment of all just claims for materials, supplies, tools, or labor and other just claims against the Contractor or any employee, agent, subcontractor, assignee or delegate in connection with the Purchase Order . C. Liability Insurance.